Footsie loses 16% of its value in 2001

The FTSE 100 Index has ended 2001 at 5217.4, down 25 points on the day, after a half-day session notable for an absence of corporate news and thin volumes.

The session marks the end of a gloomy year for the Footsie, which has dived 16% during 2001.

There was little driving the market, with all other major European exchanges shut for New Year's Eve and only a handful of companies making announcements.

Vodafone was the most heavily traded stock during the morning session, but it ended the day ahead just ¼p at 179¾p. Other telecoms stocks making gains included BT Group, up 1¾p at 253p; and Cable & Wireless, up 4½p at 330½p.

Tech stocks fared less well, with computer services group Logica losing 4p at 640p; and chip designer ARM Holdings shedding 2% or 7p at 359p.

Renewed fears over the state of the Argentinian economy following the shock resignation of president Adolfo Rodriguez Saa meant Lloyds TSB lost 8p at 746p; Barclays was 5p weaker at £22.75; Prudential shed 2p at 796p; HBOS was off 19p at 796p; and Abbey National was down 3½p at 980p.

But Alliance & Leicester gained 10p at 802p after press reports named it as a likely takeover candidate in 2002; and oil and gas exploration company BG Group was also singled out as a potential target, boosting its share price by 4p to 280p.

Business support group Capita put on 6¼p at 490¼p amid news it could gain a stock market rival in 2002 after counterpart Xchanging said it was seeking to join the London Stock Exchange in a £1 billion flotation.

Among the smaller stocks, software group Market Age saw trading restored today as it issued a profits warning along with its delayed interim results. Its share price promptly nosedived by 39% or 34p to 62½p.

And Intelliplus dived by 10% or ¼p to 2¼p after the AIM-listed telecoms firm said intense competition had driven down turnover and margins, while infrastructure costs had remained fixed.